Bad Debtor China
Rotterdam, The Netherlands, June 24, 2019 - Today it became clear to Parx Plastics NV (Euronext: MLPRX) (“Parx” or the “Company”)that Ningbo BMQ Technology Development, Co., Ltd (“BMQ”), Parx' sole distributor for mainland China, will most likely not be able to pay the outstanding invoices of Parx. Although Parx is still investigating the facts and circumstances of the case, it appears that BMQ is in financial distress and will likely be unable to pay its outstanding debts. BMQ has been a valued business relation of Parx for many years and has always been a reliable partner. The current situation is regrettable.
In total the outstanding invoices amount to €164,218.81. As this amount represents a significant percentage of the current turnover levels of Parx (€ 338,838 FY 2018), any failure to collect all or a substantial portion of the outstanding invoices is expected to have a significant negative effect on the liquidity position of Parx.
Parx will do its utmost best to collect the outstanding invoices and to take possession of the shipped and stocked materials at BMQ.
Parx will also explore opportunities to strengthen its liquidity position.